gEco blog

(with Tei Gordon of NTT Communications)
www.kdkaradio.com
Shelley Duffy Interview

Scents from Your Cell Phone

Ever wonder what it would be like to have different scents like baking cookies or roses be released from your cell phone? People in Japan did, and Shelley Duffy has all the info in this InfoMinute.

(アジア・イノベーション・イニシアチブ)
www.aii21c.org
www.innoverasia.com

gEco CEO Tei Gordon joins a panel discussion leader at the Asia Innovation Initiative (AII), hosted on June 6 and 7 in Fukuoka City, Japan. AII is a new international conference series started by former Sony Chairman, Nobuyuki Idei, and his new company Quantum Leaps to promote innovation in Asia. Thanks to Jason Sausto of Red Herring for the picture.

Panel Members (Left to Right)

Hyun Lee, CEO, Salux Co., Ltd., Korea
リー・ヒューン氏、サリュクス株式会社、韓国）

Robin Li, Chief Executive Officer, Chairman, Baidu.com, Inc., China
ロビン・リー氏（百度　総裁兼CEO、中国）

Tei A. Gordon, gEco
テイ　ゴードン氏,（ゲッコ、プレジデント・CEO、米国、日本）

Clay Chandler, Chief Editor, Fortune Asia
クレイ・チャンドラー氏（フォーチュン誌　アジア版編集長）

The Japanese government could potentially save several hundreds of trillions of yen this fiscal year alone. How?

…stop the “Cool Biz” campaign!! I am not referring to fashionable offices.

“Cool Biz” is the new Japanese Ministry of Environment call for requiring its offices and promoting private companies to set their thermostats at 28 Celsius during the summer months. The underlying logic is that by setting the thermostat set higher, air-conditioners will consume less energy, resulting in energy savings and less environmental impact due to CO2 and PHPs being released. The fact is, however, that the government has issued a blanket demand that does not recognize differences in heating, ventilation and air-conditioning (HVAC) systems in buildings and the campaign is doing more harm in the long run.

In spirit, Cool Biz is a noble idea that would probably make any corporate social responsibility officer look good at first glance. I will be the first to admit that I was impressed that the government taking a proactive role. At least Japan is trying to do something to protect the environment.

However, the Ministry is simply wrong. We should forget the measly one-hundred billion yen that cool biz is purportedly estimated to save from government coffers annually. Also forget about the 460 thousand tons of CO2 that Japan is reported to have saved last year. Looking at cool biz in net terms, the cool biz campaign will cost us exponentially more, both economically and environmentally.

Do not get me wrong. As a businessman I can appreciate the reduced utility expenses through energy conservation. As a taxpayer, I certainly appreciate lower taxes and as an environmentalist, I am all for ridding the concrete jungle of pollutions and preventing the “heat island effect” where Tokyo’s temperatures rise a couple degrees and saving what little we have left for future generations, especially since scientists now say that we have our planet is the hottest in 2,000 years. These are the fundamentals upon which I have started my own company to promote environmentally-friendly technologies.

The clothes dryer effect

Ever notice how clothes are dried outside on verandas instead of dryers in Japan? Surprise, but it is not because Japanese housewives are environmentally-conscious.

Have you ever tried using a clothes dryer in Japan? Ever notice how they do not work? Wonder why? Simply, there is no ventilation allowing trapped humidity to escape to the outside. Hence, the damp clothes swirl around over the course of 4 hours and slowly the humid air is diffused through cracks in the loading door.

Older office buildings in Japan are no better than clothes dryers. Ever notice that many older pre-1980s buildings in Japan do not have vents connecting to the outside (government buildings inclusive)?

Visiting some of my clients, the indoor air temperature often exceeds a sweltering 29 Celsius (82.4 degrees Fahrenheit) and in excess of 60% humidity.

This is because often the temperature sensors for controlling the HVAC systems are located near the entry of a room with airflow to the next room or to the outside, far from where the poor guy with a desk next to the copy machine and other office equipment emanating heat. Therefore, while the thermostat may be set at 28, the same guy sitting next to the work station is sweating out the extra garlic toppings from his ramen last night.

For comparison, 28 Celsius and 50% humidity is same temp and humidity as my sports club swimming pool, where my suit is does not have collars.

It is no surprise then that I have threatened to wear my Burmuda shorts and aloha shirt when calling on some clients.

So where is this heading?

Lethargic Productivity

I do not think I am alone in saying that the last thing that any government needs is less productivity!!

Common sense tells us that if we are uncomfortable then our productivity will go down.

There are plenty of governmental and private industry research papers to substantiate the correlation. The American Society of Heating, Refrigeration and Air-conditioning Engineers (ASHRAE) and specialized climate conglomerates, such as Johnson Controls, Carrier Corp., and the EPA are the most informative sources.

It is well-documented that we start to see substantial incremental decreases in worker productivity at temperatures above 23 Celsius (73.4 degrees Fahrenheit) and above 50% humidity.

Just Google “worker productivity” and “temperature” and “humidity” and you will find thousands of links concerning the impact of a poor office environment on productivity. Productivity studies report that loss of productivity resulting from indoor air quality can range anywhere between 3 and 20 percent and that range can be either positive or inversely negative, in direct correlation with temperature. Even just a 1% increase in productivity per person could represent hundreds of thousands of yen per month for a small operation and if we multiply that by several thousands of workers, then… well, I think you get my point.

The Dai-Ichi Life Research Institute estimates that Cool Biz increased nominal GDP in Japan by 63.7 billion yen last year. I for one would be interested in seeing the figure for net savings after loss of worker-productivity is accounted for. I am no economist but it seems logical to subtract the 3 to 20 percent yen-denominated productivity from the June 1 through August salaries of all government employees last summer.

Mold, mildew, germs, mites and SBS

Ever wonder what that strange smell is on the subway. How about that pretty rainbow of colors growing on the walls of your shower in the summer? Well, these and more will soon be coming to an office near you.

Take, for example, the Hawaiian Hilton Village in Waikiki? They built the new 450 plus room tower “Kalia” in 2002, but had to gut it and throw out all the carpeting, furniture, walls and appliances at a nominal cost of $20 mill. to determine the cause and another $35 mill. for all the furniture, drapes, and ventilation systems. The total, $55 mill. figure does not include the class-action lawsuit to be decided shortly. So what was the cause? …toxic mold, which grows exceptionally well in hot and humid indoor environments.

The phenomenon is so well pronounced that it even has the formal name “sick building syndrome” or SBS.

Now with “Cool Biz” we are creating the exact same hot and humid climate that is perfect for incubating bacteria and molds!! Carpet mites also thrive in temperatures above 23 Celsius and relative humidity of 40% or higher.

But, then again, perhaps this is all part of a bigger economic push to keep the economy out of recession. Just think of how all the remodeling will add to Japan’s GDP. Oh, and do not forget the extra CO2 that will be also be emitted to create new furniture, carpeting, desks, computers, copy machines and everything else that goes into an office building!! Most electronics were not made to handle such high humidity.

A little secret about humidity and your cell phone. Ever wonder about those little white strips with red dots found on your cell phone battery? Did you notice how over time the strips turn pink as the red bleeds into the white. The bleeding is caused by humidity and this is how phone companies get you to upgrade your handset every year. Manufacturers actually calculate about one year’s humidity into the life of the handsets.

Maybe we can throw a few lawsuits into the mix as well. Employees suing their employers for not providing safe working environments, as well as tenants suing their landlords. Our economy is really expanding now.

Why get so excited over mold?

There are hundreds of thousands of species of molds found throughout the world. Molds not only eat everything they grow to survive, but in the work place, can result in absenteeism, sickness, skin infections, productivity loss due to lethargy, insurance claims and lawsuits.

Toxic molds will exasperate asthma, soar throats and a host of other diseases.

While molds usually grow where water accumulates, such as condensation, it can also be found inside walls, where it is difficult to detect. The water helps molds absorb nutrients and grow.

For more information on the topic of mold, ASHRAE and CH2MHILL, one of the world’s largest engineering firms, are exceptional resources. Just enter “mold” on their respective webpages.

BTW, we may have to reconsider that International Standardization Organization (ISO 14000) compliance banner from your webpage and promotional materials. Yes, international indoor air-quality standards are covered by ISO. After all, I would hate to think you may be passing fungi spores on to clients and customers.

Personal ramifications

Personally, the heat and humidity is unacceptable.

The U.S. typically keeps its air-conditioning about 21-22 Celsius, while Europe sets it at about 20-21 Celsius. I start sweating at about 25, while sitting at my desk and that is with a fan.

While cool biz has liberated an army of salary men from choking on their ties in summer, tell those in your office to layer their clothing if they are too cold. There is only so much you can dress down to tolerate the heat, yet putting on extra clothing is certainly within the range of reason.

By the way, these principles are not exclusive to the government. Tell your CEO to turn off his air-conditioner while you are sweltering at your desk. [What is good for the gander is good for the goose.]

Solutions

Building managers would be well-advised to at very least seek professional advice and have an energy audit performed to ensure that no problems will ensue.

Furthermore, government officials should learn that it is not air-conditioners causing the heat island effect; rather it is the tall buildings and black asphalt pavement that attract and trap the heat in the city. Green rooftop gardens as being proposed are a great start!!

Meantime, air conditioners must be kept running minimally even in the evenings and weekends to keep humidity down or you will eventually face mold issues.

And let’s focus on creating technologies that both keep us comfortable and that are safe for the environment. If the government really wants to take a proactive approach then let’s provide tax incentives for commercialization of environmentally-friendly and sustainable technologies.

After all, business, technology and the environment do not have to be mutually exclusive endeavors.

Now, where were we? Ah yes, my fees.

Tei A. Gordon

President and CEO
gEco
www.gEcoh.com
Tokyo, Japan / Corvallis, Oregon / Kona-Kohala, Hawaii

Home of cross-border market entry for environmentally-responsible products and services.